The investment impact of Germany in Turkey

Germany has emerged as a key player in supporting Turkey's economic growth through foreign direct investments (FDIs). This partnership has flourished over the years, with both the duration and number of German investments leading the way. Currently, more than 7,250 Turkish and German companies, united by German capital, are actively contributing to Turkey's economic landscape.

Turkish coffee

Investment Impact

Since 1980, German companies have invested approximately 14.5 billion USD in Turkey. These investments, predominantly in the form of "Greenfield investments," have played a crucial role in generating employment opportunities for hundreds of thousands of people across Turkey. The term "Greenfield investments" refers to long-term projects that involve establishing new businesses or expanding existing ones.

German companies in Turkey are involved in a wide array of sectors, showcasing the diversity of their economic engagement. From industrial production to the marketing of various products and services, as well as retail and wholesale activities, these investments contribute significantly to Turkey's economic development.

Job Creation and Long-Term Commitment

The impact of German investments goes beyond financial figures, as they actively create jobs that benefit the local population. The long-term commitment of German companies to Turkey is evident in their sustained efforts to establish and expand businesses, fostering economic growth and stability.

The enduring partnership between Germany and Turkey in the realm of foreign direct investments reflects a shared commitment to economic development. With over 7,250 companies collaborating and an investment volume exceeding 14.5 billion USD, this relationship stands as a testament to the positive impact of international cooperation on employment and economic growth in Turkey.

German flag

Why Germany chooses Turkey

Turkey holds a distinctive position as a crucial trading partner and investment destination for German companies, thanks to its special status as a member of the EU Customs Union. This exclusive relationship underscores the significant economic ties between the two nations, fostering a dynamic exchange that spans trade, investment, and regional connectivity.

Situated at the crossroads of Europe and Asia, Turkey's strategic geographical location serves as a natural bridge connecting the East-West and North-South axes. This positioning not only enhances its importance as a trade hub but also positions Turkey as a cost-effective and efficient base for German companies seeking access to vital markets in the neighbouring regions.

The EU Customs Union membership grants Turkey unique trade advantages, making it an attractive destination for German businesses looking to expand their global footprint. The close economic integration allows for smoother trade flows and facilitates investment opportunities that benefit both nations.

Turkey's appeal as an investment destination is further heightened by its robust infrastructure, particularly in the energy and logistics sectors. The country offers a well-developed network that supports efficient transportation and facilitates the movement of goods, contributing to the overall ease of doing business for German companies.

Turkey’s business-friendly environment

A key asset for German companies investing in Turkey is the youthful, well-educated, and technology-savvy population. This demographic advantage ensures a skilled working force, ready to adapt to evolving technological trends and contribute to the innovation and competitiveness of businesses operating in the country.

Turkey's allure for German companies extends beyond its strategic location and favourable economic conditions. The nation provides a wealth of attractive opportunities, offering a business-friendly environment that fosters growth and development. Turkey's special status within the EU Customs Union establishes it as a key player in the economic collaboration between Germany and the broader international community.

As a vital bridge linking diverse regions, Turkey's appeal as a trading partner and investment destination is strengthened by its strategic location, robust infrastructure, and a dynamic, tech-savvy workforce. German businesses stand to benefit from the myriad opportunities presented by this enduring and mutually beneficial partnership.

Istanbul at night


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